Sony CEO Stringer: It’s the Network, Stupid

Sony CEO Howard Stringer reaffirmed the consumer electronics giant’s decision to focus on networked gadgets while discussing its restructuring at a shareholders’ meeting held today, according to Reuters. Stringer said the company would lay off 16,000 workers and close eight of its 57 manufacturing sites as part of an attempt to reduce spending by $3 billion. However even as Sony is making cuts, it’s still planning to add wireless connectivity to its devices. Reuters quotes Stringer as saying:

“In the 20th century, this company created great champion products … In the 21st century, other companies took our hardware like the Walkman and added network capability and turned it into the iPod,” Stringer said.”We are not going to be beaten again in the network age.”

I think that Stringer recognizes that mobility and connectivity are changing. Sony still needs to get its act together. All these major changes in the broad environment are changing customer needs and want. Sony is now behind because of lack in foresight - they are reacting as many companies.

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